CCI, by its order dated December 22, 2015, has approved the proposed proposed acquisition of shares of Religare Enterprises Limited (REL)in Religare Invesco Asset Management Company Private Limited (RI-AMC) and Religare Invesco Trustee Company Private Limited (RI-TC).
The proposed combination relates to the increase in the existing shareholding of the Invesco HK from 49% to 100% in the equity share capital of RI-AMC and RI-TC. At present, the Religare Enterprises Limited indirectly holds 51% shareholding in RI-AMC and RI-TC through Religare Securities Limited(RSL) and RGAM Investment Advisers Private Limited (RGAM).
The order states that Invesco HK is a company incorporated under the laws of Hong Kong and is present in the market for mutual fund and portfolio management services in India only through its shareholding in RI-AMC and RI-TC.RI-AMC is a company registered under the laws of India. It acts as the investment manager to RI-MF. RI-AMC also provides portfolio management services, including discretionary services, non-discretionary & non-binding/non-exclusive advisory services. RI-TC is a company registered under the laws of India. It acts as the trustee of Religare Invesco Mutual Fund (“RI-MF”).
It was noted that there are no horizontal overlaps between the Invesco HK and the RI-AMC and RI-TC and the proposed combination is not likely to cause any appreciable adverse effect on competition (AAEC).
(Source:CCI Order dated December 22, 2015.For full text see CCI website)